MNI BRIEF: Japan Consumer Confidence Posts 1st Rose in 2 Mnths

Japan's consumer confidence index rose in August for the first time in two months, up 1.2 points to 34.9 from 33.7 in July, Cabinet Office data showed Friday. The government left its assessment unchanged.

All sub-indexes, covering economic well-being, income conditions, the labour market and willingness to buy durable goods, posted gains.

A separate sub-index on asset prices, not included in the main calculation, rose to 43.8 in August from 41.7.

Households’ inflation expectations also edged higher, with 93.4% of respondents projecting price gains compared with 92.4% in July, while those forecasting declines fell to 1.7%. The share expecting CPI to rise more than 5% a year ahead eased to 49.8% from 51.3%.

The improvement may ease Bank of Japan concerns that household consumption is losing momentum under the drag of high food prices and negative real wages.